Heya,
I also feel EXT have their hands tied in this, flyBE are happy at the moment because they have the low-cost monopoly at Exeter. If easyJet were to arrive it would upset the balance and flyBE would be up in arms, and would probably stop any expansion or cut down on routes altogether e.g Bristol.
Not to mention current apron constraints would also place restrictions on other airlines coming in at the moment, especially if FCA want to base another aircraft here in '09.
I would like to see some more competition down in Exeter but the management have to be very careful not to upset the balance with flyBE and end up losing out.
Alex